- The Street Sheet
- Posts
- 🧐 Dividend Aristocracy
🧐 Dividend Aristocracy
Plus, Japan's largest beef bowl chain served... what?!
🚨 IMPORTANT: Please click any link in this newsletter if you would like to continue to receive The Street Sheet this year. Clicks are our only way to know you’re actively reading this email. (Thanks, Apple.) So please click any link this week, just so we know you still want free trade ideas, delivered daily.
Happy Monday afternoon to everyone on The Street. Here's a snapshot of where markets ended the trading session, plus tomorrow's trade idea delivered to you today.
🟨 | US stocks were mixed today as the S&P 500 slouched to the end of its worst first-quarter performance since 2022.
📈 | One Notable Gainer: No IPO blues for conservative news outlet Newsmax $NMAX ( ▲ 0.22% ) . Its stock more than quintupled in value after debuting on the NYSE today.
📉 | One Notable Decliner: CoreWeave $CRWV ( ▲ 1.16% ) , on the other hand, saw its shares tumble on its second trading day, after finishing flat on Friday.
Sponsored by Cadiz
Hedge funds continued to snap up shares of Cadiz, Inc. (NASDAQ: CDZI) in the fourth quarter. BNP Paribas hiked its holdings by more than 25%, and institutional investors now hold 80% of the company’s stock.
What do they know that retail investors don’t?
S&P 500 Heatmap. Credit: Finviz
All Stock Heatmap. Credit: Finviz
Global ADR snapshot. Credit: Finviz
MARKET MOVERS
Moderna, Celsius, Canada Goose
$MRNA ( ▲ 0.91% ) Vaccine stocks fall after key FDA official resigns in protest of RFK Jr. (CNBC)
$CELH ( ▼ 3.84% ) Celsius' Alani Nu acquisition taps into fast-growing female market (SeekingAlpha)
$GOOS ( ▼ 1.8% ) Barclays cuts Canada Goose stock rating, lowers target to $8 (Investing.com)
$DFS ( ▼ 0.92% ) Discover Financial Stock Leads S&P 500 Gainers on Retention of Interim CEO (YF)
$RKT ( ▲ 0.56% ) / $COOP ( ▲ 0.56% ) Mortgage company Rocket buying Mr. Cooper in all-stock deal valued at $9.4 billion (AP)
OVERHEARD ON THE STREET
CNBC: At a town hall event, Elon Musk blamed backlash against his role in DOGE for Tesla's plummeting stock price.
Fortune: US stocks notched their worst quarter in nearly three years as investors anxiously await President Trump's upcoming tariff announcement.
WSJ: The Trump team is considering a broader tariff increase of up to 20% ahead of Wednesday's deadline.
Reuters: Trump Media became the first company listed on NYSE Texas, while maintaining its primary listing on the Nasdaq.
CNN: Goldman Sachs $GS ( ▼ 0.16% ) warned the escalating trade war and rising tariffs increase the risk of a recession, now predicting a 35% chance.
TOMORROW’S TRADE IDEA, TODAY
Time For the Dividend Aristocrats to Shine
A Safe Haven
President Trump’s rocky rollout of tariffs has caused substantial market volatility. Investors looking to avoid this may be able to find a safe haven in income-producing stocks, according to Wolfe Research.
Wolfe is encouraging investors to focus on the “dividend aristocrats”, which is a grouping of companies that have raised their dividends every year for at least the past 25 years.
These stocks historically performed well leading up to and during recessions, according to analyst Chris Senyek.
Verizon
Verizon $VZ ( ▲ 0.71% ) is one stock that made Wolfe’s list. Its dividend is currently yielding 6.13%, and has grown 2% over the last 12 months alone.
On top of that, Verizon announced plans to acquire fiber-optic internet provider Frontier Communications $FYBR ( ▼ 0.11% ) to expand its fiber network in September.
While analyst price targets suggest only modest upside, Wolfe believes the stock should provide decreased volatility compared to the overall market and solid income.
Philip Morris
Philip Morris $PM ( ▲ 0.33% ) has seen its stock skyrocket lately, up more than 30% YTD. This is largely due to its immensely popular smokeless product, Zyn. The stock’s dividend is currently yielding 3.5%.
PM beat earnings and revenue estimates in Q1, and its smoke-free products sold over 40 billion units for the first time ever. January saw the FDA approve the marketing of Zyn, making them the first nicotine pouches to get the green light.
After years of Silicon Valley dominance and booming AI plays, the technocrats appear to finally be faltering. But that just means a new aristocracy will take its place — or rather, if Wolfe is correct, an old one.
Which stock do you think will outperform over the next 12 months? |
Sponsored by Centurion Publishing
This isn’t some AI data center, government facility, Tesla factory or Amazon plant… But the technology being implemented here could soon begin to usher in $24 trillion of new wealth.
ON OUR RADAR
WSJ: Far-right French politician Marine Le Pen was found guilty of embezzling EU funds and banned from running in the 2027 French presidential election.
Reuters: The "Buy Canadian" movement is growing, raising concerns among US-based companies reliant on Canadian retailers for sales.
AP: France's antitrust watchdog fined Apple 150 million euros for abusing competition law with its App Tracking Transparency feature.
Bloomberg: Builder.ai, an AI startup back by Microsoft $MSFT ( ▼ 0.18% ) , hired auditors to investigate inflated sales figures.
CNN: Sukiya, Japan's largest beef bowl chain, temporarily closed nearly all of its 2,000 stores for cleaning after a rat and a bug were found in its food.
FRIDAY’S POLL RESULTS
Which stock do you think will outperform over the next 12 months?
🟩🟩🟩🟩🟩🟩 GeneDx (WGS)
🟨🟨🟨⬜⬜⬜ Natera (NTRA)
🟨⬜⬜⬜⬜⬜ Glaukos (GKOS)
And, in response, you said:
“Identifying and treating diseases is going to become the trend for the future.”
“All three should prosper.”
Reply